Withdrawal windows and Rage quit
Last updated
Last updated
In the current version of the Aspis Protocol, we have implemented the traditional approach to withdrawals from the Vault and profit/loss fixation.
Withdrawal of assets from the fund without an early capital redemption fine (rage quit fine) is possible during withdrawal periods (aka withdrawal windows). During this withdrawal period, the investor may burn any number of his LP tokens and receive a pro-rata portion of the fund's assets with the performance fee applied (if any) and fund-management fee.
"Rage quit" (aka early capital redemption fine) provides greater protection for the Vault participants while also increasing transparency. This mechanism allows them to withdraw their assets from the fund at any time. by paying a Rage quit fine, which is calculated as a fraction of the LP tokens withdrawn.
This mechanism is designed to allow investors to withdraw assets from the fund if they want to.
Vault lifecycle can be seen below:
Vault Creation & Fundraising period (If user withdraws his funds right after depositing, rage quit fine is applied)
Freeze period (Rage quit applies on any withdrawal)
Withdrawal period (Users can withdraw their funds and rage quit will not be applied)
Then, the Freeze period follows the Withdrawal period infinitely.
At any time, a new fundraising period may start if participants vote and execute such a
The corresponding periods start on the date following the end date of the fundraising phase. The countdown after fundraising is finished starts with the freeze period.
Rage quit fine is provided as compensation to fund participants for unplanned withdrawals, which in some cases may disrupt the fund's strategy implementation.
When you create a vault, simply specify this Rage Quit fine that will be deducted from the assets withdrawn by Vault member, which will stay in the Vault and automatically distributed among all LP holders proportionally (Number of burned more than capital being withdrawn from the Vault).